The Meghalaya Apartment Ownership Act, 2016 (Meghalaya Act NO.5 of 2016)
Meghalaya · state statute
Open in Lexace · Ask the AI about this actNo. 94 Postal Registration No. N. E.-771/2006-2008 The Gazette ofMeghalaya EXTRAORDINARY PUBLISHED BY AUTHORITY Shillong, Monday, July 25, 2016, PART-IV GOVERNMENT OF MEGHALAYA LAW (B) DEPARTMENT ORDERS BY THE GOVERNOR NOTIFICATION The 25th July, 2016. 3rd Sravana-1938 (S. E.) No.LL(B)1/2012/132.-The Meghalaya Apartment Ownership Act, 2016 (Meghalaya Act NO.5 of 2016) is hereby published for general information. MEGHALAYAACT NO.5 OF 2016. (As passed by the Meghalaya Legislative Assembly) Received the assent of the Governor on 23rd July, 2016. Published in the Gazette of Meghalaya Extra-Ordinary issue dated 25th July, 2016. 556 THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25,2016 [PART-IV THE MEGHALAYAAPARTMENT OWNERSHIP ACT, 2016. An Act to provide for the ownership of an individual apartment in a building together with an undivided interest in the common areas and facilities appurtenant to such apartment and to make such apartment and interest heritable and transferable. Whereas it is expedient to provide in the State of Meghalaya for the ownership of an individual apartment in a building together with an undivided interest in the common areas facilities appurtenant to such apartment, and to make such apartment and interest heritable and transferable and for enforcement of obligations on promoters and apartment owners and to provide for matters connected therewith or incidental thereto; Be it enacted by the Legislature of the State of Meghalaya in the Sixty seventh Year of the Republic ofIndia as follows:- Short title, extent and commencement. Application. CHAPTER I PRELIMINARY 1. (1) This Act may be called the Meghalaya Apartment Ownership Act, 2016. (2) It extends to the urban areas of the State of Meghalaya. (3) It shall come into force on such date as the State Government may, by notification in the Official Gazette, appoint and different dates may be appointed for different areas. 2. The provisions of this Act shall apply to every apartment in any building constructed (or converted into apartments) by a promoter before or after the commencement of this Act on free held land or on land held on lease: Provided that the number of sizes of the apartments in a building is in conformity with Building Bye Laws in force: Provided further that if a basement, cellar, garage, room, shop or storage space is sold separately from any apartment, it shall be declared as an independent apartment and not as part of any other apartment or of the common areas and facilities: Explanation: Notwithstanding that prOViSion is made for sanitary, washing, bathing or other conveniences common to two or more apartments, the apartment shall be deemed to be separate and self-contained. PART-IV] Definitions. THE GAZETTE OF MEGHALAYA (EXTRAORDINARY) JULY 25,2016 557 3. In this Act, unless the context otherwise requires,- (a) "Act" rneans the Meghalaya - Apartment Ownership Act, 2016; (b) "apartment" rneans a part of any property intended for any type of independent use including one or rnore rooms or enclosed spaces located on one or more floors to be used for residence or office or for the produce of any profession or for the carrying on of any occupation, trade or business or for such other type of independent use as may be prescribed, and with a direct exit to a public street, road or highway, or to a common area leading to such street, road or highway; (c) "apartrnent building" rneans a building constructed or any land containing two or more apartments, or any existing building converted into apartments, and includes a building containing two or three apartments in respect of which · a declaration has been made under the second proviso to Section 2; (d) "apartrnent number" means the number, letter, or combination thereof, designating an apartrnent; (e) "apartrnent owner" means the person owning an apartrnent and an undivided interest in the cornmon areas and facilities appurtenant to such apartrnent in the percentage specified in the deed of apartment; (f) "association" means an association consisting of all the apartment owners in the building acting as group in accordance with the bye laws. If two or more buildings are grouped together by the protnoter in the deed of apartments, a single association shall be fortned for all the aparttnent in the buildings so grouped. Metnbership will be extended to allottees under a hire-purchase agreement; (g) "bye-laws" tneans the bye-laws of an association made under this Act; (h) "cotntnon areas and facilities" in relation to a building means all parts of the building or the land on which it is located and all easetnents, rights and appurtenances belonging to the land or the building, which are neither in the exclusive possession of an 558 THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25,2016 [PART-IV (i) apartn1ent owner in tern1 of his deed of apartn1ent nor handed over or intended to be handed over to the local authority or other public service agency. This will include the li=ited COn1n1on areas and facilities; "con1position fees" n1eans the an10unt of the fees arising out of due on the apartn1ent owner penalty fees if any; cUn1ulative the an10unt along with (j) "COllUTIOn expenses" 1lleans- (i) all SUn1S lawfully assessed against the apartn1ent owners by the association for n1eeting the expenses of adn1inistration, n1aintenance, repairs or replacen1ent of the COn1n1on areas and facilities; (ii) declared by the provisions of this Act or by the bye-Ia-ws or agreed upon by the association, as COIn01.on expenses; (k) "cOn1n1on profits" n1eans the balance of all incon1e, rents, profits and revenues fron1 the COn1n1on areas and tacilities, ren1aining after the deduction of the COn1n1on expenses; (1) "con1petent authority" n1eans the officer or authority -who or -which n1ay be en1po-wered by the State Governn1ent, by notification in the Official Gazette, with executive po-wers for in1plen1enting the provisions of this Act and the rules n1ade thereunder, for such areas as n1ay be specified in the notification, under the general guidance, superintendence and control of the State Governn1ent: Provided that the State Governn1ent n1ay notify as cOn1petent authority n10re than one officer or authority and distribute the -work an10ng then1 in the n1anner deen1ed fit; (n1) "deed of apartn1ent" n1eans the agreen1ent to be executed be1W"een the pron1oter and the allottee -whenever any allotn1ent, sale or other transfer of an apartn1ent is n1ade; (n) 'joint fa=ily" means a Hindu undivided fa=ily and, in the case of other persons, a group, the IIleIIlbers are by CUStOIIl jointly residing together; (0) "land" IIleans a portion of the surface of the PART-IV] THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25, 2016 559 earth, COlUprisine the ground or soil and everything under it or over it, and things ~hich are attached to the earth (such as buildings, structures and trees) things which are pertnanently fastened to the earth or to things attached to the earth, easelUents, rights and appurtenances belonging to thelU and benefits arising out of thelU; (p) '.'Land Transfer Act" lUeans the Meghalaya Transfer of Land (Regulation) Act, 1971; (q) "litnited COlUlUon areas and facilities" lUeans those COlUlUon areas and facilities which are designated in writing by the prolUoter before the allotlUent,sale or other transfer of any apartlUent, as reserved for use of certain apartlUents to the exclusion of the other aparttnents; (r) "local authority" lUeans a Municipality or an authority for any other area so notified by State GovernlUent; (s) "lUanagelUent cOIIllUittee" lUeans the lUanagelUent cOlUtnittee of an association elected by the lUelUber frolU a=ong the apartlUent owners under the bye-laws; (t) "lUajority' or "lUajority of aparttnent owners" tneans the apartJIlent owners with fifty-one percent or IIlore of the votes in accordance with the percentages assigned in the deeds of aparttnents for voting purposes; (u) "person" includes cOlUpany, firtn, co operative society, joint fa=ily and an ~ncorporated body of persons; (v) "prescribed" lUeans prescribed by rules lUade l1nder tills Act; (w) "promotor" lUeans the person who constnu:t!'l or causes to be constructed a building consisting of apartlUents, or converts an ;'xisting building or a part thereof into aparttnent, for the purpose of selling all or SOlUe of the apartlUents to other persons, and includes his assigns. Where the person who constructs or converts a building and the person who sells are different persons, ~hc tcrlU includes both of them. Any jdeveloplUent authority and any othcr public j:>ody so notified by GovernlUent are deemed 560 THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25,2016 [PART-IV Ownership of apartments. to be prUInoter in respect of the allottccs in buildings constructed by them on land owned by them or placed at their disposal by Governrnen t; Explanation: A person who acts as described above will be deemed to be a promoter, even if (i) he styles himself as builder, coloniser, contractor, developer, estate promoter or by any other name; or (ii) he claims to be acting as the holder of a power of attorney of the owner of the land on which the building IS constructed or any other persons. (x) "property" means the land, the building, all improvements and structures thereon, and all easements, rights and appurtenances belonging thereto, and includes every specified .right and interest in land which a person can have to the exclusion of other persons, such as possession use and enjoyment free from interference, right of disposition and franchises and hereditaments; (y) "Registrar" means Registrar appointed under the Registration Act, 1908; and (z) "State Government" means the Government of the State of Meghalaya and the word "Government" shall be construed accordingly. CHAPTER II OWNERSHIP, HERETABILITY AND TRANSFERABILITY OF APARTMENTS. 4. (1) E-very person, to whom an apartment is allotted, sold or otherwise transferred by the promoter in accordance to the provisions of the Land Transfer Act, either before or after the commencement of this Act, shall be entitled, save as otherwise provided in section 7 and subject to the other provisions of this Act, on and fron;l such commencement, or on such allotment, sale or transfer, as the case may be, be entitled to the exclusive ownership and possession of the apartment so allotted, sold or otherwise transferred to him or her. (2) The ownership of land on which the apartments are constructed will remain vested with the landowner or promoter as the case may be till the registration of the PART-IV] THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25,2016 561 association. However the landowner or promoter is not allowed to add addition", I structure or undertake any development or alienate, transfer or sale the land without the consent of all the apartment owners. (3) Every person who becomes entitled to the exclusive ownership and possession of an apartment under sub section (1) will be entitled to the notional value of land which is proportionate to the super-built up area of his or her apartment or apartments. (4) Every person who becomes entitled to the exclusive ownership and possession of an apartment under sub section (1) shall be entitled to such percentage of undivided interest in the common areas and facilities as may be specified in the deed of apartment and such percentage shall be the ratio of the built-up area of the apartment to the total built-up area of all the apartments of the building. In respect of limited common areas and facilities reserved for the use of certain apartments to the exclusion of other apartments, such percentage shall be the ratio of the built up area of the apartment to the total built-up area of those apartment for which the use is reserved. The actual built-up area should be taken into account for the calculation of the percentage and any different area which may be stated in the agreement between the promoter and the person taking the apartment, shall be ignored. (5) The apartment owners shall own in common the common areas and facilities, neither the promoter nor the association shall have any ownership right in the common areas and facilities. The association shall be vested with the management and maintenance of the common areas and facilities. (6) The percentage of the undivided interest of an apartment owner in the common areas and facilities shall have a permanent character and shall not be altered without the written consent of all the apartment owners. (7) The percentage of undivided interest in the common areas and facilities shall not be separated from the apartment to which it appertains and shall be deemed to be conveyed or encumbered with the apartment, even though such interest is not expressly mentioned in the conveyance or other instrument creating the encumbrance. (8) The common areas and facilities shall remain undivided and no apartment owner or any other person shall bring any action for partition or division of any part thereof, and any covenant to the contrary shall be void. 562 THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25,2016 [PART-IV Common areas and racWtles. ApartDlent to be heritable and transferable. 5. (1) Each apartment owner may us., tlle COl11n1n1, areas and facilities in accordance with the purpose for which they are intended, without hindering or encroaching upon the lawful rights of the other apartment owners. (2) The necessary work relating to the maintenance, repairs or replacement of the common areas and facilities and the making of any additions or improvements thereto, shall be carried out only in accordance with the provisions of this Act and the bye -laws. (3) The association shall have the irrevocable right (to be exercised by the management cotnmittee) to have access to each apartment from time to titne during reasonable hours for the tnaintenance, repairs or replacement of any of the cotntnon areas of facilities therein or accessible therefrotn, or for making emergency repairs therein necessary to prevent damage to the cotnmon areas and facilities or to any other aparttnent or apartments. 6. (1) Subject to the provisions of section 7, an apartment, together with the percentage of undivided interest in the cotntnon areas and facilities' appurtenant to such apartment, shall constitute for all purposes a heritable and transferable immovable property as per law for the time being in force. (2) An apartment owner tnay transfer his apartment together with the percentage of undivided interest in the cotntnon area and facilities appurtenant to such apartment by way of sale, mortgage, lease, gift, exchange or in any other manner whatsoever, in the same tnanner , to the same extent and subject to the same rights, privileges obligations, liabilities, investigations, legal proceedings or remedies, and to penalty, forfeiture or punishment, as any other imtnovable property, or may make a request of the same under the laws applicable to the transfer and succession of immovable property. The promoter shall neither itnpose any condition on such transfer in the agreement of sale nor collect any amount for acquiescing to such transfer: Provided that where the apartment is in possession of a person on the basis of a hire-purchase agreement, the transfer of possession of the apartment shall be regulated by the hire-purchase agreement and the transferor shall be jointly and severally liable with the transferee for the installments yet to be paid: Provided further that where the apartments in possession of a member of a housing co-operative society PART-IV] THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25, 2016 563 OWnership of apartment subject to conditions. of the tenant co-partnership type, the transfer of possession of the apartInent shall be regulated by the laws, rules and bye-laws applit.:auk to such society: Provided also that where the building is on leasehold land, the transfer shall be subject to the tenns and conditions of the lease: Provided further also that the transfer and inheritance shall confonn to the provisions of the Land Transfer Act. (3) The promoter shall neither impose any condition on such transfer in the agreement of sale nor collect any amount for acquiescing to such transfer. 7. (1) Where an allotInent, sale or other transfer of an apartInent has been made within the provisions of the Land Transfer Act, whether before or after the commencement of this Act, in pursuance of any promise of payment, or part payment, of the consideration thereof, the allottee shall not J::>ecome entitled to the ownership of that apartment or to the percentage of undivided interest in the common areas and facilities appurtenant to such apartInent, until full payment in respect of common expenses has been made of the consideration thereof, along with any amounts in respect of common expenses and payment of Government and municipal taxes incurred by the promoter before the fonnation of the association, together with interest if any due thereon. (2) If there is a dispute about the amount payable by the allottee to the promoter, the dispute shall be decided by the competent authority, but the allottee will be entitled to possession without waiting for the dispute to be decided. If after tmal payment as aforesaid has been made, any expenses are incurred by the promoter for providing any requirement imposed by the Government or the local authority, such as fire-fighting equipment, it shall be recoverable from the apartment owners, where any such allottee has been inducted into the possession of such apartment or any part thereof on certain term and conditions in pursuance of such allotInent, sale or other transfer, he shall continue to remain in possession thereof on the same tenns and conditions: Provided if a person has entered into a hire purchase agreement with the promoter and has been inducted into the possession of an apartInent on certain tenns and conditions, he shall continue to remain in possession thereof on the same terms and conditions. 564 THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25,2016 [PART-IV CompUance with covenants and bye-laws. Purchasers or lessees to executing undertaking. Certain works prohibited. Sub-lease and its breach. 8. An apartment owner shall comply strictly with this Act, the rules and the bye -laws and with the- covenants; conditions, restrictions set forth in the deed of apartment and failure to comply with any of them shall be a ground for action to recover sums due to damages, or for injunctive relief, or both, by the management committee on behalf of the association, or, in a proper case by an aggrieved apartment owner, before the competent authority. 9. Notwithstanding anything contained in any law for the time being in force, a person acquiring an apartment from an apartment owner by gift, exchange, purchase or otherwise or taking lease' of an appointment from an apartment owner, shall- (a) in respect of the said apartment, be subject to the provisions of this Act; and (b) execute within four months and register an instrument, in such form and in such manner as may be prescribed, giving an undertaking to comply with the covenants, conditions and restrictions, subject to which such apartment is owned by the apartment owner aforesaid, and file certified copy thereof in the office of the competent authority_ 10. No apartment owner shall do any work which would be prejudicial to the soundness or safety of the property or reduce the value thereof or impair any easement or heriditament or shall add any material structure or excavate any additional basement or cellar, without first obtaining the consent of all the other apartment owners. Explanation: - In this section where there is more than one building in the association, reference to the other apartment owners in the section, is only to the other apartment owners in the concerned building. 11. (1) Where any land is given on lease by a person (hereafter in this section referred to as the lessor to another person (hereafter in this section referred to as the lessee, which term shall include a person in whose favour a sub-lease of such land has been granted), and any building has been constructed on such leasehold land by the lessee, as there are apartments in such building and shall execute a separate deed of sub-lease in respect of such land in favour of each apartment owner within four months from the date on which possession of an PART-IV] THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25, 2016 565 apartlnent is given to him, and execute a document transferring the management of the currunon areas and facilities to the association within four months of its being formed, and file certified copies of the instruments in the office of the competent authority. (2) In the case of a building constructed before the commencement of this Act, such deed of sub-lease and such document of transfer shall be executed within four months of the comrnenceInent of this Act. Thereafter, the powers and functions of the lessee shall be exercised by the association in respect of apartment owners who are the sub-lessees: Provided that no sub-lease in respect of any land shall be granted except on the srune term and conditions on which the lease in respect of the land has been granted by the lessor and no additional terms and conditions shall be imposed by the lessee except with the previous approval of the lessor: Provided further that the sub-lease shall also conform to the provisions of the Land Transfer Act: Provided also that the lessee shall not withhold consent to, or collect any runount for acquiescing to, the apartment owner executing a transfer of the sub-lease and endorsement on the deed of apartment in favour of a transferee, but, where the lessor is the Government, it may levy such transfer fee as may be prescribed. (3) Where the lessee has any reason to suspect that there has been any breach by the apartment owner (hereinafter referred to as the defaulting apartment owner) of the terms and conditions of the sub-lease, in respect of the land appurtenant to the apartment, he may himself inspect such land or may authorise one or more persons to inspect such land and make a report as to whether there has been any breach of the terms and conditions of any sub-lease in respect of such land and, if so, the nature and extent of such breach, and for this purpose it shall be lawful for the lessee or any person authorised by him to enter into, and to be in the land in relation to which such breach has been or is suspected to have been committed. (4) Where the lessee or any person authorised by him makes an inspection of the land referred to in sub-section (3) he shall record in writing his findings on such inspection a true copy of which shall be furnished to the defaulting apartment owner) and, where such findings indicate that there has been any breach of the terms and conditions of the sub-lease in respect of such land, the lessee may, by a notice in writing, require the defaulting apartment owner to refrain from such breach, or to pay in 566 THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25,2016 [PART-IV lieu thereof such composition fees as may be specified in the notice in accordance with such se"1",, of composition fees as may be prescribed. (5) The defaulting apartment owner who is aggrieved by any notice served on him by the lessee under sub section (4) may, within thirty days from the date of service of such notice, prefer an appeal to the competent authority, either challenging the findings of the lessee or any person authorised by him, or disputing the amount of composition fees as specified in the notice. The competent authority may, after giving the parties as reasonable opportunity of being heard, confirm, alter or reverse those findings; or may confirm or reduce the amount of composition fees, or set aside the notice. (6) Where there is default in the payment of any composition fees, it shall be lawful for the lessee to recover the amount of composition fees from the defaulting apartment owner as an arrear of land revenue. (7) Where any composition fees are paid, whether in pursuance of the notice served under sub-section (4) or in accordance with the decision of the competent authority, no further action shall be taken by the lessee for the breach in relation to which payment of such composition fees has been made. (8) Where any lessee omits or fails to take any action under sub-sections (3) or (4), the lessor may, by a notice in writing, require the lessee to take action against the defaulting apartment owner under sub-sections (3) or (4) within a period of ninety days from the date of service of such notice and, in the event of the omission or failure of the lessee to do so within such period, the lessor may himself take action under sub-sections (3) or (4), and the provisions of sub-sections (4), (5) and (6) shall, as far as may be, apply to any action taken by him, as if such action has been taken by the lessee. (9) For the removal of doubts, it is hereby declared that no work in any apartment by the owner thereof shall be deemed to be a breach of the terms and conditions of the sub-lease in respect of the land on which the building containing such apartment has been constructed, unless the work is prohibited by Section 10. (10) Where the building is not constructed on leasehold land, the promoter will not be required to grant a sub-lease to any apartment owner or executed a document transferring the management of the common areas and facilities to the association, but, on the execution of the conveyance and the deed of apartment, the title to the apartment and the percentage of undivided interest in the PART-IV] THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25, 2016 567 Encumbrances against apartments. common areas and facilities appurtenant to such apartment shall be deemed to be transferred to the concerned apartment owner and the right of management of the common areas and facilities of the association. The provision of the other sub-sections of this section shall apply, as if the words "sub-lease", "lessee" and "sub lessee" refer to the "deed of apartment", "association" and "apartment owner" respectively. 12. (1) An apartment owner may create any encuII1brance only against the apartment owned by hiIn and the percentage of undivided interest in the comII1on areas and facilities appurtenant to such apartment, in the same manner and to the same extent as II1ay be created in relation to any other separate parcel of property subject to individual ownership: Provided that where any such encuII1brance has arisen or has been created against the apartment and the percentage of undivided interest in the COrnInon areas and facilities appurtenant thereto, such apartment and undivided interest sha).l. not be partitioned or sub-divided: Provided further that encuII1brances against the apartII1ents shall conform to the provisions of the Land Transfer Act. (2) No labour performed or material furnished with the consent, or at the request, of an apartment owner or his agent or his contractor or sub-contractor, shall be the basis of a charge or encumbrance under the provisions of the Transfer of Property Act, 1882, against the apartment or any other property of any other apartment owner not expressly consenting to, or requesting the same, except that such express consent shall be deemed to be given by an apartment owner in the case of eII1ergency repairs to his apartment. (3) The labour performed and material furnished for the comII1on areas facilities, if duly authorised by the association or the management committee in accordance with the provisions of this Act or the bye-laws, shall be deemed to be performed or furnish with the express consent of each apartment owner and shall be the basis for a charge or encumbrance against each of the apartments and shall be subject to the provisions of sub section (4). (4) In the event of a charge or any encumbrance against two or more apartments becoming effective, an apartment owner may remove his apartment from the charge or encumbrance by making payment of the proportional amount attributable to his apartment. 568 THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25,2016 [PART-IV Contents of Deed of apartment. (5) On any such payment, di .. charge 01· other satisfaction, referred to in sub-section (4), the apartment and thc percentage of undivided interest in the cotnmon area and facilities appurtenant thereto shall thereafter be free and clear of the charge or encutnbrance so paid , discharged or satisfied: Provided that such part payment shall not prevent the person having a charge or encutnbrance frotn proceeding to enforce the rights, in relation to the atnount still outstanding, against any other apartments not so free of the charge or encumbrance. CHAPTERIU DEED OF APARTMENT AND ITS REGISTRATION 13. (1) Whenever any allotInent, sale or other transfer of an apartInent is tnade within the provisions of the Land Transfer Act by the promoter to the allottee, the promoter and the allottee shall, as the party in the first part and the party in the second part respectively, within four months frotn the date of sucJ:t allotment, sale or other transfer, execute a deed of apartment, containing the following particulars; natnely,- (a) the natne, address and other particulars of the allottee; (b) description of the land on which the building and the comtnon areas and facilities are located, and whether the land is free-hold or leasehold, and if leasehold the period of such lease, and the postal address of the property; (c) a set of floor plans of the building showing the lay-out and location of the apartInent, and bearing the verified statetnent of an architect certifying that it is an accurate copy of the portions of the plans of the building as filed with and approved by local authority within the jurisdiction of which the building is located; (d) description of the building, stating the number of storeys and basements, the number of apartments in that building and the principal materials of which it is constructed; (e) the apartment number or statetnent of the location of the apartment, its approximate area, nutnber and dimensions of the rooms, imtnediate common area to which it has access, and any other data necessary for its property identification: PART-IV] THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25, 2016 569 Provided that the number and areas of the apartments should be in conformity with the Municipal Regulations or Meghalaya Building Bye Law in force; (f) description of the common areas and facilities appurtenant to such apartInent; (g) description of the limited common areas and facilities, if any, starting to which apartInents their use is reserved; (h) value of the property and of the apartment and the percentage of undivided interest respectively in the common areas and facilities and the limited common areas and facilities if any, appurtenant to such apartment, and a statement that the apartInent and such undivided interest are not encumbered in any manner whatsoever on the date of execution of the deed of apartment; (i) statement of the purposes for which the building and each of the apartments are intended and restricted as to use; (j) the name of the person to receive service of process, together with the residence or place of business of such person; and (k) any further details which the parties to the deed of apartment may feel desirable to set forth: Provided that if, owing to urgent necessity or unavoidable accident, any document executed, or copy of a decree or order made, in India is not presented for registration till after the expiration of the time hereinbefore prescribed in that behalf, the Registrar, in cases where the delay in presentation does not exceed four months, may direct, on payment of a fme not exceeding ten times the amount of the proper registration-fee, such document shall be accepted for registration as per sub section (1) of Section 25 of Indian Registration Act 1908. In case of delay beyond this period, the provision of Indian Registration Act 1908 shall be applicable: Provided further that in the case of an allotment, sale or other transfer made before the commencement of this Act, the promoter shall execute the deed of apartment within four 570 THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25,2016 [PART-IV months of s1.wh commenccm,mt or within the period of extension granted by the competent authority or Government: Provided also that the non-execution of a lease between the lessor and the lessee, or the alleged breach of any conditions of the original agreement regarding allotment between the promoter and the allottee, shall not be considered sufficient cause for the promoter not executing the deed of apartment in favour of the allottee. (2) If the apartment is allotted under hire-purchase, the promoter and the hire-purchaser shall execute, instead of a deed of apartment, a hire-purchase agreement. (3) The promoter shall file in the office of the competent authority, and deliver to the concerned allottee a true copy of the deed of apartment or the hire-purchase agreement as registered under Section 16. (4) Whenever any transfer of an apartment is made by the owner thereof, whether by sale, lease mortgage exchange, gift or otherwise within the provisions of the Land Transfer Act, the transferor or shall deliver to the transferee the certified copy of the deed of apartment delivered to him under sub-section (3) , after making an endorsement thereon as to the name, address and other particulars of the transferee, to enable the transferee to get endorsement of the certified copy registered in accordance with the provisions of section 16. (5) The execution of the deed of the apartment vests the apartment owner with the exclusive ownership and possession of the apartment together with the percentage of undivided interest in the common areas and facilities appurtenant to such apartment, as a heritable and transferable property in terms of Sections 4 and 6 of this Act. On execution of a document transferring the management of the property and the common areas and facilities to the association, it is vested with the management of the property and the common area and facilities, but will not be the owner of the property or the building or the common areas and the facilities. (6) For the removal of doubts, it is hereby declared that the provisions of this section shall be in addition to and not in derogation of the provisions of any other law for the time being in force, relating to the transfer of immovable property. (7) The copy of the deed of apartment or the endorsements thereon, as thc case may be, shall be sent PART-IV] THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25,2016 571 by the Regislrar Lo Ule concerned Income Tax authority and the Promoter, apartment owner or transferee except t.ribal shall be liable to any action under the- Income Tax Act, if the transaction reveals that any income has escaped taxation. (8) In the absence of any agreement to the contrary, the stamp duty and the registration fee for a deed of apartment or an endorsement thereon or a sub-lease shall be borne by the allottee, the transferee or the sub-lessee as the case may be, unless it is remitted by notification under Section 9 of the Indian Stamp Act,1899. Enforcement of 14. (1) If the promoter, or the apartment owner as the case transfer. may be, fails to execute· a deed of apartment or an endorsement thereon under the first proviso of sub sections (1) or (4) of section 13 within four months, or does not comply with sub-sections (3) or (4) of section 13 within four months of the execution of the deed of apartment or the endorsement thereon, or with sub section (1) of section 1.1 within four months of the date on which possession of the apartment is given of the date or which possession of the apartment is given or, where the competent authority or government has granted extension of time under the first proviso to sub-section(l) of section 13 within such extend period, the competent authority may, either on a complaint or summon, impose a penalty of 3 0/0 of basic cost of the apartment for which there is a default together with a further minimum penalty for each apartment of one hundred rupees for every day for which the default continues, and the penalty may be recovered as an arrear of land revenue. This penalty shall be in addition to any action under the Stamp Act, 1899 or the Registration Act 1908: Provided that it will be incumbent on the promoter to execute the sub-lease only after the lease is executed in his favour, but the deed of apartment will have to be executed without waiting for the execution of the lease, as envisaged by the third proviso to sub-section (1) of Section 13. (2) On the failure of the promoter to execute the deed of apartment within the time stated in sub-section (1) the allottee may make an application to the competent authority. (3) On failure of the apartment owner to make an endorsement of the transfer of an apartment on the deed of apartment within the time stated in sub-section (1), the transferee may make an application to the competent authority. 572 THE GAZETTE OF MEGHALAYA (EXTRAORDINARY) JULY 25,2016 [PART-IV Recording of succession. (4) On the failure of the lessee to execute a sub-lease within the time stated in sub-section (1), the apartment owner may make an application to the - competent authority. (5) The application under sub-sections (2),(3) or (4) as the case may be, shall be in the prescribed form in writing for a certificate to be produced before the concerned registration officer for enforcing the registration of the transfer. After making such enquiry as may be necessary and satisfying itself that the occupation certificate has been obtained from the appropriate authority and that the applicant has done what he is required to do under the agreement, the competent authority shall issue a certificate to the appropriate registration officer that it is a fit case for enforcing registration and direct the application to present the deed of apartment, the endorsement on the deed of apartment or the sub-lease as the case may be, though not executed by the other party, for unilateral execution of registration. (6) After the instrument along with the certificate issued by the competent authority is presented for registration, the registration officer shall cause a summons to be issued to the other party. If he fails to appear in compliance with the sum.m.ons,' the execution of the instrument shall be deemed to be admitted by him and the registration officer shall proceed to register the instrument. If he appears but denies the execution of the instrurnent, if the registration officer, after giving him a reasonable opportunity of being heard, is satisfied that he has failed to execute the instrument without sufficient cause, shall proceed to register the instrument. Notwithstanding anything contained in the Land Transfer Act in force or the Transfer of Property Act, 1882 or the Registration Act, 1908, the registration of the instrument under this sub section shall be sufficient to vest the property in the applicant. 15. (1) Whenever any succession takes place to an apartment or part thereof, the successor shall, within a period of six months from the date of such succession, make an application to the competent authority for recording such succession on the certified copy of the deed of apartment, and, if there is any dispute as to the succession to the apartment, the competent authority shall decide the same. (2) Whenever any succession to an apartment has been recorded by the competent authority under sub-Section (1), such authority shall send a true copy of such record to the concerned registrar for registration thereof in accordance with the provisions of Section 16. PART-IV] THE GAZETTE OF MEGHALAYA (EXTRAORDINARY) JULY 25,2016 573 Registration of deed of apartment. Formation of association. 16. (1) Every declaration under the second- proviso to Section 2, every instrument under Section 9, every sub lease and every document transferring management of common areas and facilities to an association under section 11, every Deed of Apartment and every endorsement thereon and every hire purchase agreement relating to an apartment and a set of floor plans for every building of apartments under section 13, and every record of succession under section 15, shall be deemed to be documents which are compulsory registrable under the registration Act, 1908 and shall be registered with the registrar accordingly, and the works and expansions in this section but not defined in this Act, shall have the meanings respectively assigned to them in the Registration Act, 1908. (2) The promoter shall file in the appropriate registration office with the first deed of apartment in respect of every building, a set of all floor plans of the building, showing th~ layout location, numbers and dimensions of apartments, and bearing the verified statement of an architect certifying that it is an accurate copy of the plans of the building as filed with and approved by the local authority within the jurisdiction of which the building is located. (3) In all registration offices, a book called "Register" of deeds of apartments under the "Meghalaya Apartment Ownership Act, 2016" and an index relating thereto shall be kept in such form and shall contain such particulars as may be prescribed. (4) Whenever any endorsement on a deed of apartment is registered, the concerned registrar shall forward a certified copy thereof to the competent authority to enable that authority to make necessary entries in the certified copy of the concerned deed of apartment flled with it under sub-section (3) of Section 13. (5) A person acquiring an apartment shall be deemed to have notice of the contents of the deed of apartment and the endorsement, if any, thereon as from the date of its registration under this section. CHAPTER- IV ASSOCIATION AND REGULATION OF ITS AFFAIRS. 17. (1)After obtaining occupation certificate for the building and within four months of one-third of the apartments being allotted, sold or otherwise transferred in accordance to the provisions of the Land Transfer Act, the promoter shall make an application to the competent 574 THE GAZETTE OF MEGHALAYA (EXTRAORDINARy) JULY 25,2016 [PART-IV authority for the registration of association, with the persons who have purchased apartments as members: Provided if the promoter fails to make such application, the apartment purchasers can make such application. (2) There shall be an association, with the apartment owners as its members, for the administration of the affairs in relation to the apartments and the property and for management, maintenance and upkeep of the property, the common areas and facilities and common services: Provided that in respect of an apartment meant for sale but not yet sold, the promoter shall be an associate member of the association and, when such apartment is later allotted, sold or otherwise transferred as per the provision of the Land Transfer Act, the allottee shall become a member of the association and the promoter shall cease to be associate member of the association in respect of such apartment: Providing further that the formulation of the association shall be without prejudice to the liability of the promoter for breach of any municipal regulation or the Meghalaya Building Bye Laws, 2011 in force regarding sanction of building plans and to obtain completion and occupancy certificates. (3) The association shall be registered with the competent authority. The competent authority shall ascertain whether the majority of the apartment owners desire the association to function as a co-operative society or as a limited company. The competent authority shall register the association accordingly, either as a co opera
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